The Welsh Government announced a £130m cost of living support package on 9 November 2026, setting out payments for households in lower council tax bands, a hardship fund for councils, help with off-grid fuel costs and support for bus operators1.
The centrepiece is a £100 energy payment for households in council tax bands A to D, which will also go to everyone receiving the Council Tax Reduction Scheme regardless of band1. An additional £8m will go to local councils so they can extend the £100 payment to households facing financial hardship who fall outside those groups; the Welsh Government said full guidance on this scheme will be available for councils soon, and no details of who it covers have yet been announced1.
A separate £5m fund will provide £250 payments to households eligible for Council Tax Reduction on income grounds who depend on heating oil or LPG1. A further £7m will go to bus operators through the structure of an existing bus grant scheme to help with high fuel costs, which the Welsh Government said would help avoid the loss of local bus services, community transport and learner transport, and protect passengers from fare increases1.
| Measure | Amount | Who it covers |
|---|---|---|
| Energy payment | £100 | Council tax bands A to D, plus all Council Tax Reduction Scheme recipients regardless of band1 |
| Council hardship fund | £8m | Councils extending the £100 payment to households in hardship not captured by other schemes1 |
| Off-grid fuel payment | £250 (from a £5m fund) | Households eligible for Council Tax Reduction on income grounds who rely on heating oil or LPG1 |
| Bus operator support | £7m | Bus operators facing high fuel costs, via an existing grant scheme1 |
The Deputy First Minister and Cabinet Minister for Social Justice and Equalities, Sioned Williams, said:
"In total this represents an additional investment of £130m, providing immediate relief for households this winter."
Williams also called on the UK Government to remove the benefit cap, increase Local Housing Allowance and introduce social tariffs, saying the Welsh and Scottish governments had made joint calls for those measures to provide longer term relief1. Wales Online reported that the £100 payment was announced by Chancellor John Healey in the UK Government budget, where he said he could not force devolved governments to offer the same scheme but hoped they would use a consequential payment to match the offer in England3.
The Claim What's Yours campaign will be expanded to help more people find out what they are entitled to1. The Welsh Government said Citizens Advice advisers had helped callers identify an additional £6.5m in entitlements during the previous campaign, when 44,620 people contacted the service2.
Why it matters for households
For a household in bands A to D, the £100 payment is a fixed sum off winter energy costs, and for anyone on Council Tax Reduction it now arrives whatever band the home is in, which widens it beyond the smallest properties1. Homes using heating oil or LPG have no access to the gas grid or a price cap in the same way, so the £250 payment is aimed at the households the Welsh Government identifies as most exposed to fuel bought in bulk or by the tank1. The £8m routed through councils is the part that reaches households outside the standard criteria, and its reach depends on guidance that has not yet been published1. The bus funding does not touch a bill directly, but the Welsh Government links it to avoiding fare increases and keeping community and learner transport running1. The package sits alongside existing help; our guide to help with energy bills and debt in Wales sets out the wider support landscape, and energy bills and energy independence explains how fixed payments and bill support interact with a home's overall costs.
What happens next
Detailed guidance for councils on the £8m hardship extension is due to follow soon, according to the Welsh Government1. No date has been given for when the £100, £250 or hardship payments will be made, and the sources do not say how households will apply or be identified. The Claim What's Yours expansion has no announced timetable1.